Wall Street held its breath Thursday morning, with stock futures showing minimal movement ahead of the highly anticipated release of the Consumer Price Index (CPI) data. Futures tied to the S&P 500 and Dow Jones Industrial Average saw a negligible 0.1% increase, while Nasdaq 100 futures edged up by 0.2%. The market's cautious optimism precedes the 8:30 a.m. ET CPI release, with economists predicting a 0.3% monthly rise, translating to a 2.9% annual gain. The core CPI, excluding volatile food and energy prices, is projected to climb 0.3% from July, reaching a 3.1% year-over-year increase.
This comes on the heels of an unexpected 0.1% monthly decline in the Producer Price Index (PPI), which rose 2.6% annually. Barclays Private Bank's chief market strategist, Julien Lafargue, noted the PPI's significance, suggesting that unless the CPI shows a substantial upward surprise, investors will likely maintain their currently dovish outlook.
The muted market reaction follows two consecutive record-breaking closing highs for the S&P 500, largely driven by Oracle's impressive surge. Oracle's shares skyrocketed approximately 36%, marking their best day since 1992 and adding a staggering $244 billion to its market capitalization. This rally was viewed positively by investors as a strong indicator for the broader artificial intelligence sector, with related stocks like Broadcom, AMD, and Micron also experiencing significant gains.
Despite a potentially weakening US economy, Wells Fargo Investment Institute strategist Scott Wren observes that companies are currently hesitant to lay off employees. While acknowledging a slowdown in job creation, Wren points to the relatively stable level of initial jobless claims as a key indicator, suggesting that businesses are preserving their workforce. He argues that the current situation indicates a pause in hiring rather than widespread job cuts.
The overall market sentiment remains cautiously optimistic, pending the crucial CPI data release which will offer further insight into the state of the economy and the Federal Reserve's potential policy decisions.
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Originally published at: https://www.cnbc.com/2025/09/10/stock-market-today-live-updates.html
